April 10, 1922 



HARDWOOD RECORD 



27 



John H. Kirby, Retiring President 



John W. Blodsett, Elected President 



Dr. Wilson Compton, Secretary>Manaj;er 



backed by the assoeiatiou, testifying that a certain car contains 

 so much lumber and that it contains the particular grade for the 

 purpose desired. 



Secretary Hoover -n-antcd to know if it was "feasible to stamp 

 the board contents on each stick?" but Mr. Hines explained that 

 this was not feasible; that "the important thing is to have the 

 grade shown," and that "that is very practical. We are doing 

 that now in export. . . . If it can be done for export, it can be 

 done for domestic use." 



Goodman Clarifies Hardwood Situation 



Mr. Goodman took the floor for the purpose of explaining that 

 the discussion of the plan to inaugurate a system of National in- 

 spection applied to the softwood lumber industry, as "the hard- 

 wood lumber industry is organized .... and in their purchase 

 contracts it is stated that settlements will be made under National 

 Hardwood Rules of Inspection. Those things are taken care of 

 in the hardwood industry. I would say it is clear that 90 per cent 

 of the hardwood industry is covered by the National Hardwood 

 Lumber Association, and that they have their bonded certificates. 

 There is hardly one per cent of dispute in connection with this, and 

 if there is a difference of a certain per cent in money value, that 

 difference is paid by the association to the complaining parties." 



To this Secretary Hoover said: "I was wondering if there is not 

 an enormous complexity of grades in the hardwood lumber business 

 that are pretty difficult for the consumer to follow?" 



Mr. Goodman replied: "There is a complexity in the number 

 of woods, but the grades are not as complex as the trade calls for. 

 For instance, in most hardwoods one grade is numbered 3 Com- 

 mon and in all the different sizes of No. 3 Common there is the 

 necessity of dividing that grade up into No. 3-A or No. 3-Box, or, 

 in different localities, it is given different names, according to the 

 grades. I think that the greatest complexity of grades is in white 

 pine, isn't it, Mr. Hines?" 



Mr. Hines answered in the affirmative, and Mr. Goodman con- 

 tinued: "On account of the diversity of uses. One point is that 

 the simplification of grades has a tendency, in the soft wood and 

 in the hardwood industry, to a closer definition of grades, which 

 means a larger number of grades, because of the economy in using 

 certain pieces of lumber in lower grades, but of a certain type use- 

 able for a more specific purpose; so that we are gaining in the uti- 

 lization, always, by having a larger or a more exact definition of 

 each grade, which means a larger number of grades." 



Here Mr. Hines again took up the conversation and explained 



how the plan under discussion would be an additional safeguard 

 over and above the insurance offered through the National Hard- 

 wood Lumber Association inspection system. He said: "In regard 

 to the hardwood association this is true; they do not make a prac- 

 tice of putting on the car, for the protection of the public, the con- 

 tents of the car and the grade. We want to meet those things 

 face to face. There is in the hardwood industry a practice of 

 mixing grades, and the ultimate consumer is imposed upon. If the 

 hardwood association (meaning the National) would go on record, 

 and I think they will, whereby in the car they will put a card 

 showing the feetage and the grade shipped, the buyer will know 

 exactly what is in the car. That is really a long step in the right 

 direction. Then, if there is any question, the hardwood association 

 can have its inspection. The hardwood association has a very fine 

 system of inspection and if called upon can verify the car and the 

 grade. ' ' 



Secretary Fish Explains National Inspection 



Following some further exchange of views on this question, Mr. 

 Goodman suggested that Mr. Fish be invited to explain the hard- 

 wood inspection method to Secretary Hoover. Complying with this 

 invitation, Mr. Fish said: "The National Association today has a 

 force of 86 hardwood inspectors, who issue what is known as our 

 bonded certificate. The association guarantees the grade and the 

 feetage under those certificates. When I say 'guarantee,' I 

 mean if it is wrong we will send the buyer who is injured a check 

 fully protecting him against any financial loss. Now, if the con- 

 sumers of lumber in this country will adopt the plan that hun- 

 dreds of them — yes, thousands — have adopted, namely: to stipulate 

 at the time he is buying hardwood lumber that the bonded cer- 

 tificate of the National Association shall be the basis, there is no 

 chance for him to get anything except just what he is entitled to. 

 I might add that this organization has been in the field twenty-five 

 years, that is, the National Hardwood Lumber Association." 



"What percentage of the hardwood industry is covered by itf" 

 Mr. Goodman asked. 



To this Mr. Fish replied: "Our present membership totals 1,446 

 concerns. Probably 75 per cent of them are manufacturers and 

 the remaining 25 per cent are wholesale distributors. Just what 

 percentage that is of the whole number selling the trade in the 

 open we don't know, but I would say that fully 95 per cent of the 

 hardwoods receiving any official inspection at this time is in- 

 spected under the National Hardwood Lumber Association rules 

 and by the National Hardwood Lumber Association." 

 (Continued on page 32) 



